The state's new tax plan calls for lowering the state's corporate income tax rate from 7.1 percent to 6.5 percent.

That's the lowest rate in New York since 1968, and would be the lowest rate in the North East.

His plan would also eliminate the corporate income tax rate for upstate manufacturers.

"You want to make a powerful statement," (D) Gov. Cuomo said, "This is a different New York, this is a different time and if you want to locate your business anywhere look at New York, because you think we're high cost? You're exactly wrong. We're actually the lowest cost. We're zero. The debate, the discussion is over."

Cuomo said the plan would have the same benefits for manufacturers as STARTUP-NY has on new businesses.

The tax plan is also pushing for a two-year property tax cap freeze for people with incomes lower than $500,000 and live in jurisdictions that stay within the property tax cap of two percent.

In the second year of this plan the benefits will only be available if local governments stick to a plan of shared services and consolidation.

"If they don't want to do shared services, they don't want to do consolidation, don't do it," Cuomo said, "But then the people in your district are not going to get the state credit, and you'll have to explain to the people in your district why they didn't get the state credit."

Cuomo said one of the reasons property tax is so high in New York is because there are nearly 10,500 local governments outside of New York City. That's one government for every 395 households.